Government Minister, Mike O’Brien MP (Parliamentary Under Secretary of State at the Home Office) has refused to help the St Giles Hospice Lottery which has just seen its £910 ‘lottery tax’ increased to a staggering £9,360. (A rise of over 1,000% !) In a letter just written to Michael Fabricant, Mike O’Brien says: "There is an exemption… to help smaller lotteries, but it does not apply to lotteries whose ticket sales are over £20,000".
The St Giles Hospice Lottery has just exceeded £20,000 and that is why Michael Fabricant interceded with both the Home Office, which supervises lotteries, and The Treasury which is responsible for taxation. However, The Treasury just passed the buck back to the Home Office. See News of 14th October.
Mr O’Brien continued: "I do of course appreciate that charities would like to use all of the funds that they collect for good causes…… We have no plans to raise the £20,000 threshold".
Michael Fabricant says: "This is very disappointing news for our local Hospice and for everyone who contributes to its funding. Last year saw all taxation rise to the highest level it has ever been as a percentage of our national wealth. I am very disappointed that neither the Home Office nor The Treasury felt able to refund some of this money to raise the threshold at which this dreadful tax triggers in. This threshold was only put in place in June of this year and it will cripple many charities similar to our own St Giles’ Hospice. In so many ways, this latest stealth tax is a national disgrace".